News

Stocks are trading flat today despite Apple (AAPL) and Google (GOOG) both recently announcing blowout quarters, leading a host of other companies like IBM (IBM), Wells Fargo (WFC) and Johnson & Johnson (JNJ) that have posted better-than-expected numbers in Q2. Wall Street is growing concern that the impossible may actually happen in that Congress may not reach a deal in time to raise the nation's debt ceiling and avoid a default on obligations. It seems as though President Barack Obama may have chosen to back a bi-partisan plan from the Gang of Six. But given the time constraints, the plan may be the only viable option left as both sides of Congress continue to debate on the longer-term financial policies of the U.S. government. Obama has repeatedly stated that he is looking for a larger scope deal rather than a short-term stop gap. However, the White House said today that the President would be open to the idea of signing a temporary extension if it was to help buy time to achieve of a bigger deal. Meanwhile, China grows anxious for a resolution and urged the U.S. government to get its debt situation under control, stating that a default would also damage the nation's credibility. As the largest holder of U.S. Treasuries, the world's second largest economy could be negatively impacted the most from a default. Oil prices slid slightly on supply data, and gold prices dipped slightly below $1,600.

Major U.S. Stock Indices

U.S. Senator Herb Kohl is taking a stand against the AT&T (ATT) and T-Mobile deal. [WSJ]

Zillow (Z), an Internet company, saw its shares soar 90 percent on its IPO. The company debuted shares at $20 per, but investors have traded the stock price up to as high as $60. [NY Times]

Hell hath no fury like an Icahn scorned. The billionaire investor and corporate raider raises his bid for Clorox (CLX) to $80 a share after the executives said his initial $76.50 offer was substantially undervaluing the company. [The Street]

What will it take for Fed Chief Ben Bernanke to step in and stimulate the economy? About a 17 percent drop in the stock market. [Fortune]

Don't get too excited about the housing market yet. More homebuyers are backing out of deals either because they're scared by the economy or because financing fell through. [CNBC]

Check back for more news.

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